ED Files Chargesheet in High-Profile Videocon Money Laundering Case
The Enforcement Directorate (ED) on Wednesday announced it has filed a prosecution complaint before a Prevention of Money Laundering Act (PMLA) court in Delhi against UK resident Sachin Dev Duggal, who serves as chairman of Swiss company nHoldings SA. The chargesheet alleges that Videocon Industries Ltd, under promoter V N Dhoot, systematically siphoned off more than Rs 35 crore to the Swiss firm before the funds were routed back to Indian technology company Nivio Technologies.
Defendant Evaded Multiple Summonses
According to the ED, Duggal has failed to appear for questioning despite receiving multiple summonses since 2022. The agency stated that he provided only partial and evasive documentary submissions via email, hindering the investigation process. The ED's probe has revealed what it describes as a systematic diversion of over $2 billion by Videocon group promoters, layered through a complex international network of overseas entities.
Continuation of Earlier Legal Action
This latest prosecution complaint represents a continuation of the original complaint filed on December 18, 2024, against V N Dhoot and twelve other individuals. The court took cognizance of that initial complaint on February 10, 2026. The current chargesheet expands the scope of the investigation to include Duggal's alleged involvement in the money laundering scheme.
Financial Transactions Under Scrutiny
The investigation has uncovered several questionable financial transactions dating back to 2008. According to the ED, Videocon Industries Ltd advanced interest-free loans exceeding Rs 17 crore to Nivio Technologies India Pvt Ltd, which is controlled by Duggal, without any formal agreement in place. A loan agreement was eventually signed on May 24, 2011, but the very next day, an overseas Videocon entity invested CHF 37.9 lakh in nHoldings SA at what investigators believe was an artificially inflated valuation.
Complex International Money Routing
Between 2011 and 2014, the ED alleges that Videocon routed approximately $37 lakh to nHoldings SA and Duggal through five different overseas companies. The agency's investigation, which originated from a 2020 Central Bureau of Investigation (CBI) First Information Report (FIR), has identified Duggal as the key beneficiary of what appears to be a sophisticated scheme to launder funds.
Financial records examined during the probe show that Nivio Technologies received Rs 35 crore from nHoldings SA during the financial year 2012. This transfer occurred precisely when Videocon was actively moving substantial funds into the Swiss entity, suggesting a coordinated effort to obscure the money trail.
Broader Implications of the Case
The ED's chargesheet represents a significant development in the ongoing investigation into financial irregularities within the Videocon group. The case highlights the challenges authorities face when dealing with complex international financial networks designed to conceal the movement of illicit funds. The agency's findings suggest a carefully orchestrated scheme involving multiple jurisdictions and corporate entities.
As the legal proceedings continue, this case serves as a reminder of the importance of robust financial oversight and international cooperation in combating money laundering activities that span multiple countries and involve sophisticated corporate structures.
